Elon Musk started as Twitter’s new captain less than a week ago when the first lawsuit is just around the corner. According to rumors, the tough businessman wants to lay off 50 percent of the staff. In response to the initial layoffs, some former employees have filed a lawsuit in San Francisco federal court.
Fired for no reason
The staff claims in the case that there is no ground for their dismissal and that Musk’s decision is over the line for that reason. In the lawsuit, the dismissed employees specifically refer to the Federal Worker Adjustment and Retraining Notification Act. This prohibits large companies from firing employees without giving at least 60 days notice.
Lawyer responsible for the lawsuit, Shannon Liss-Riordan, says all Twitter employees should know their rights. They should not just sign for their resignation and thereby waive their rights, says the lawyer. Liss-Riordan is no stranger to Musk, having previously assisted Tesla employees in a similar case.
In June 2022, Musk planned to kick out 10 percent of his Tesla employees. In the end, Tesla won the closed-door case before the arbitration judge. “Looks like he’s repeating the same trick he did with Tesla a few months ago,” said Liss-Riordan.
Twitter not the only one
Incidentally, Twitter is not the only company in the world currently having to lay off people on a large scale. Macroeconomic conditions are slowly starting to bite everywhere. Tech giants such as Meta, Amazon, Microsoft and Google have also stopped hiring new staff and in some cases have also started large-scale layoffs.
Things are not running smoothly for crypto companies either. The crypto winter is taking a lot longer than hoped and expected. It now appears that many companies have taken too much risk during the last bull market and that the staff is now being paid for it.
Particularly in cities such as San Francisco, Dubai and New York, we are currently seeing a lot of crypto-related layoffs. The chart above shows that San Francisco is the big leader on this negative statistic. Here, from January 1 to November 1, 2022, 1,142 people lost their jobs in the crypto industry.
Dogecoin gets a tick
In the meantime, the hype surrounding Dogecoin has also subsided somewhat. After an explosive increase of more than 150 percent, Dogecoin has lost 10 percent of its price value for the past 24 hours. That’s a pattern we see more often when a currency rises explosively. The last percentages are often the result of hype. People hope to be able to join in the festivities with this.
In addition, the decline in Dogecoin appears to stem from the fact that production of a Twitter crypto wallet has been temporarily paused. Almost immediately after Platformer came with this news, the Dogecoin price fell by 4 percent.
The Dogecoin community fervently hopes that Elon Musk will do something with their favorite coin as soon as possible. Unfortunately for them, the crypto wallet delay indicates that Dogecoin is not a priority for Twitter and Musk for a while. At the moment, Musk’s entire focus seems to be on the new subscription model for Twitter, which should cost about $8 a month.
